The Influence of Social Media on Consuptive
Behavior of Millennial Generation in Makassar
Carla Poli Management Department Universitas Atma Jaya Makassar
South Sulawesi - Indonesia
Uli Urbanus Bubun Management Department Universitas Atma Jaya Makassar
South Sulawesi - Indonesia
Abstract:- The aims of this study are to investigate the influence of social media on the consumptive behavior of millennials generation in Makassar. Data were collected using a set questionnaire. As many as 100 questionnaires were distributed, which 83 of the questionnaire were returned. Descriptive analysis was deployed prior to regression analysis. The results reveal that the millennials spend around 10 hours for internet activities. In relation to the influence or social media and consumptive behavior, the study finds a positive influence of social media on consumer behavior of the millennials. The consequence and further research avenue are provided.
Keywords:- Social Media, Consumer Behavior, Millenial Generation.
I. INTRODUCTION
About 34% or 83 million Indonesians are grouped as millennials [1].They are in the age range of 20 to 40 years. The ages are child-bearing age that will be the backbone of the Indonesian economy[1]. The facts show how important the millennials for the Indonesian economy.
One important feature of the millennials is internet usage [2, 3]. There is an exponential increase in internet users in Indonesia [4]. The increase in the number of internet users affected the increasing number of active social media users [5,6]. While based on data presented by the Indonesian Internet Data Organizing Association (APDII), internet users in Indonesia had reached 88.1 million and 48% of them are daily internet users in February 2016. Economically, the World Economic Forum 2015 predicted that Indonesia in 2020 would be in the eighth rank of the world economy. Indonesia will reach 140 million internet users; Indonesia will become the largest digital market in Southeast Asia in 2020. In 2015 internet users in Indonesia reached 93.4 million users (47.9% of the population) will continue to grow until 2019 which is predicted to reach 133.5 million users and in 2020 will be reached 140 million users. This is a fantastic growth and indicates the important role of the internet and millennials in Indonesia.
Rapid technological developments have an impact on the consumption behavior of people in the world [7]. This development brings people to find out and make new breakthroughs to meet their needs [8,9]. The development of technology creates a social networking site by utilizing
the existence of the internet [5,10]. The developments influence all aspects of human activities including consumption activities.
This consumptive behavior is increasingly driven by the development of social media users [11,12]. Social media is used as a tool to be able to express the personalities of the owner of the account such as the downloads of their photos while on vacation, the luxury items they have, food and vehicles they have ([13]. This indirectly affects other people who see these posts, which without realizing it, now most people use their social media accounts as a place or place to be able to show off their strengths compared to others to get their own praise or satisfaction.
Social media is a means to show what is owned and express their wealth [14]. This can affect the behavior of the millennials to shop [15]. Their shopping patterns can be affected by the existence of social media interaction especially for millennials in Makassar City.
The previous data lead to a question how the influence of social media on consumptive behavior of millennial generation in Makassar?
II. LITERATURE REVIEW
A. Social media
Social networking is a site where everyone can make a personal web page, then connect with friends to share information and communication [16]. If traditional media using print and broadcast media, social media use the internet [17,18]. Social media is an online media, with its users, can easily participate, share and create content including blogs, social networks, wikis, forums, and the virtual world [2, 19, 20, 21]. Blogs, social networks, and Wikis are the most commonly used forms of social media communities throughout the world [21]. Social media invites anyone who is interested to participate by contributing feedback, comment, and share information [22, 34]. Social media creates a new way of communication.
networks, internet forums, weblogs, social blogs, micro- blogging, wikis, podcasts, images, videos, ratings, and social bookmarking [25]. There are six types of media social: collaboration projects (for example, Wikipedia), blogs and microblogs (for example, Twitter), content community (for example, youtube), network sites social (eg Facebook, Instagram), virtual games (eg world of Warcraft), and virtual social (for example, second life) [25, 26]. The biggest social networks include Facebook, MySpace, Plurk, Twitter, and Instagram [27, 28]
Social media has the following characteristics: The message delivered is not just for one person but
can be sent to various people, for example, messages via SMS or the internet
Messages delivered freely, without having to go through a Gatekeeper
The messages delivered tend to be faster than other media
The recipient of the message that determines the time of interaction.
B. Consumptive Behavior
Term consumptive usually used on mass related behavior consumer in human life [21, 24]. The term leads to a consumer lifestyle which tends to happen in a society that considers material as the most important thing in a person life [29, 30]. Consumptive behavior is the tendency of someone to over-behave in buying something or buying unplanned goods or service.
Consumptive behavior also can be viewed in a socio-economic context [31]. In the socio-socio-economic context, consumptive behavior is influenced by social and cultural factors such as social status, tradition and values [32]. Also found in socio-psychological symptoms in the form of ones desire to imitate and compete with their coleagues in what they have and use [33]. Prestige is often a motivation to be consumptive, they assume that products they have as Symbol Status.
Consumptive behavior creates a habit of buying products for consumption but there are other motivations [34, 41]. Various products with well-known brands are very popular even though they are expensive, such as shirts "Arrow or Gucci bags".
There are two factors that influence consumer behavior, namely:
Internal which consisting of two aspects, namely psychological factors and personal factors.
Psychological factors, also greatly affect someone in a consumptive lifestyle, including motivation, perception and attitude and trust.
Personal Factors such as age, work, economic situation, personality and gender
External that include culture, social class, and family. The impact of consumptive behavior has changed the lifestyle of millennials [35]. The consumptive behavior of the millennials who are getting used to the consumption
pattern gradually begins to become a habit that makes their lifestyle [36]. The behavior leads the millennials no longer future-oriented but only the current time.
C. Millennial Generation
The term generation millennial generation was first introduced by one of the major newspapers in the United States in an editorial in August 1993 [23, 37]). At that time the editor of the Newspaper was discussing teenagers aged 12-13 years but had different behaviors than the previous generation [38]. One of the unique characters of generation Y is a higher need for existence than previous generations.
Millennials generation is the generation born between the years 1981-2000 or is currently aged 15 years to 34 years. Millennials generation (also known as the Millennial Generation or Generation Y) are the demographic groups after Generation X, while the Z generation is the generation that was born after the year 2000 to the present.
Literally, there is no specific demographic in determining this one generation group [42]. However, experts classify it according to the beginning and end of the year. Generation Y generation is formed for those born in 1980 - 1990, or in early 2000, and so on. The millennial generation is “technology savvy” [43]. The main difference between millennial generation than the previous generation is about the use of technology and pop culture/music. The lives of the millennial generation cannot be separated from technology, especially the Internet, entertainment/amusement has become a staple for this generation.
The millennials can be grouped into five sub-group namely
Millennials: they are only physical and millennial, but their behavior and character are more suitable to enter the generation before millennial.
Millennial-nerds: They are millennials who live in their own world. They are creative but lacking in style, they are independent people, and tend to be "semaugue". Their internet consumption is also relatively low. Millennials: They are also very active on social media.
Their hands and thumbs as fast as lightning share various statuses, maybe they don't even understand 100% of the contents they share
Millennial Trends: They are millennial trendsetters, complete gadgets, can never be separated from internet connections, and even tend to be addicted to the internet.
Millennial-Mass: They are generally good followers, medium internet consumption and most active on the internet based on personal interest.
D. Previous Research
Hennig-Thurau [20], generation Y has a very large purchasing power. If adjusted for inflation, they spend five times more money than their parents of the same age. Generation Y consumers spend more time at the mall, surrounded by many product offerings, and usually don't want to repeat to use clothes that have been used before.
Large expenditures, this group has its own charm for marketers [42]. Usually, the products purchased by this group are sweets and dry food, bottled drinks, clothing, music, and electronics [31]. They grow in the internet world and hope to actively participate in the world of entertainment. They prefer to determine the final outcome of a video game rather than seeing who wins the soccer match on television [32]. They feel comfortable in the digital world and can hardly imagine living without cell phones and iPods. What should be done by marketers is to try to understand their world and try to continue to assist
and meet their needs [35]. Ownership of mobile devices is one of the most significant factors in online shopping behavior. Based on Nielsen's research, Indonesia ranks globally in terms of using smart phones for online shopping.
Based on the theoretical basis of the strategy stated above, the hypothesis can be stated as follows. It is assumed that Social Media significantly influences millennials Consumptive Behavior at Makassar City.
III. RESEARCH METHOD
A. The Variables
There are two varibles in the study namely social media and consumptive behavior. Social media indicators are presented on table 1 below.
No Statement Source
1. I often access the Online Shop on various social media 7, 42
2 I often access the Online Shop on various social media 19, 21
3. I always shop online if I open the social media application 7, 19
4. I am interested in accessing online shop sites offered by various social media 7, 19 5. I am interested in shopping when I see certain offers from social media 7, 19
6. Playmates also have the same interests as me 7, 19
7. I am often carried away by emotion 7, 19
8. I download and access social media based applications so that I don't miss information compared to my friends 19, 21 9. By accessing social media, I get a new idea to be able to express myself 19, 21
10. By accessing social media, I can reduce fatigue, feeling confort 7, 19
11. I can connect and share with my friends or other people 7, 19
12. Information about the product I want is clearer 19, 42
13. Transaction guaranteed security 7, 19
14. I always ask for friends' opinions if I want to shop on social media 19, 42 15. If there is a product offered or said to be suitable by a friend for me, then I will buy it 19, 42
16. I will follow my friend if I buy a product 7,19
[image:3.595.35.564.289.593.2]17. I always keep up with the times 19, 42
Table 1:- social media activity indicators (Source : Literature review)
As can be seen on table 1, there are 17 indocators for social media activities. Indicators for consumptive behavior are presented on table 2.
No. Statement Source
1. I will immediately buy an item offered on social media when it feels right 6, 11 2. I will not buy an item offered on social media when I don't feel right 11, 19 3. I have a gadget other than the cellphone that I have, because it looks really cool 6, 19 4. I buy goods almost every month because I am always interested in something new 19, 42 5. I will still buy a new item even though the old one is still suitable for use 42 6. I spend some of the money to buy whatever I want even though the item is not needed 19, 42
[image:3.595.33.567.647.755.2]B. The Population and Sampling
Sugiyono (2012: 118) states that "Samples are part of the number and characteristics possessed by the population". The population for this study are millennials with age range of 20 to 23.
C. Data Analysis
Descriptive data analysis was applied prior to validity and reliability test and regression analysis. Mean and standard deviation will be applied in descriptive analysis . Then validity and reliability test will be conducted. "Valid means that the instrument can be used to measure what should be measured [44]. Valid shows the degree of accuracy between data that actually occurs in objects with data that can be collected by researchers. Item statements are said to be valid if the value of r counts> r table". This is by considering the table of r with df (degree of freedom) = n – 2. An instrument is quite reliable to be used as a data collection tool because the instrument is already good". To test this instrument, reliability analysis will be used with the Cronbach's Alpha method. A factor is declared reliable if Cronbach Alpha> 0.60 (Ghozali, 2005).
Simple linear regression analysis is used to determine the effect of one independent variable on one dependent variable. With Y is the dependent variable and X is the independent variable. The coefficient a is a constant (intercept) which is the cutoff point between the regression line and the Y axis in the Cartesian coordinates. The t test is known as a partial test, which is to test how the influence of each independent variable individually on the dependent variable. This is also one of the statistical tests used to test the truth or falsehood of the null hypothesis / zero which states that in between two mean samples taken randomly from the same population there were no significant differences. This T-test aims to determine the magnitude of the influence of each independent variable individually (partial) on the dependent variable. The significance level is α = 1% to 10%.
IV. FINDING AND DISCUSSION
A. Respondents Background
Three aspects of respondents background namely gender, internet dayly usage and social media application are presented.
Gender
Respondents gender are presented in table 3.
Gender Freq. %
Male 38 45.8
Female 45 54.2
[image:4.595.320.561.93.214.2]Total 83 100.0
Table 3:- Gender of Respondents (Source: SPSS Data Processed Result)
The table show that 45 or 54.2 percent were women while 38 or 45.8 percent were men.
b. Daily internet usage
[image:4.595.315.567.317.449.2]Most respondents spend their time more than 5 hours a day to use internet. The internet usage is presented on table 4.
Internet activation Frequency Percent
1-5 hour 1 1.2
6-10 hour 5 6.0
11-15 hour 33 39.8
>16 hour 44 53.0
Total 83 100.0
Table 4:- Duration of Respondents' Internet Activation Hours (Source: SPSS Data Processed Results) Table 4 shows that most respondents used their internet connection more 16 hours a day.
c. Social Media Application
There are two groups social media application namely Social networking applications (for example Facebook, Instagram, Twitter) and online game application. The results are presented in table 5.
Social Media Freq. %
Social networking applications (Facebook, Instagram, Twitter etc) 72 86.7
Online game applications 11 13.3
Total 83 100.0
Table 5:- Social Media Application (Source: SPSS Data Processed Results)
B. Descriptive Result for Social Media Activities
Descriptive finding for social media acivities are presented in the following table.
No Statement Mean Std Dev.
1. I often access the Online Shop on various social media 4,446 0,6487
2. I often access the Online Shop on various social media 4,33 0,565
3. I always shop online if I open the social media application 3,75 0,641
4. I am interested in accessing online shop sites offered by various social media 3,94 0,722 5. I am interested in shopping when I see certain offers from social media 4,02 0,624
6. Playmates also have the same interests as me 4,05 0,642
7. I am often carried away by emotion 3,73 0,885
8. I download and access social media based applications so that I don't miss information compared to my friends 4,19 0,614 9. By accessing social media, I get a new idea to be able to express myself 4,20 0,536
10. By accessing social media, I can reduce fatigue 3,73 0,607
11. I can connect and share with my friends or other people 4,373 0,6384
12. Information about the product I want is clearer 4,11 0,625
13. Transaction guaranteed security 3,84 0,689
14. I always ask for friends' opinions if I want to shop on social media 3,81 0,818 15. If there is a product offered or said to be suitable by a friend for me, then I will buy it 3,81 0,740
16. I buy a product if a friend do it 3,65 0,903
[image:5.595.37.564.102.406.2]17. I always keep up with the times 4,25 0,696
Table 6:- Descriptive results of social media activities (Source : Data analysis) Seventeen items were deployed to measure social
media. As can be seen from the table, there are two outcome tendencies: high mean scores with relatively low standard deviations and variance scores, and low mean
scores with relatively high dispersion distributions. The first tendency indicated that respondents had relatively similar responses for question items with high mean score. On the other hand, for the second tendency, responses for
questions that tried to assess formality of training practices, response distributions were spread widely on the 5 point Likert scale.
C. Descriptive Results for Consumptive Behavior
Six items were deployed to measure consumptive behavior. The results are presented on table 7 below.
No Statement Mean Std. Dev
1. I will immediately buy an item offered on social media when needed 4,10 0,709 2. I will not buy an item offered on social media when I don't feel right 4,13 0,620 3. I have a gadget other than the cell-phone that I have, because it looks really cool 3,75 0,948 4. I buy goods (shoes, bags, etc.) almost every month because I am always interested in something new 3,70 0,959 5. I will still buy a new item (bag, clothes, shoes, etc.), even though the old one is still suitable for use 3,90 0,775 6. I spend some of the money to buy whatever I want even though the item is not needed 3,82 0,885
Table 7:- Descriptive results for consumptive behavior (Source : Data analysis) D. Validity and Reliability
Validity refers to the degree to which inferences made from test scores or other instruments are correct or accurate [44]. So, validity is the extent to which an instrument measure what is intended to measure. There are three types of validity: content, criterion-related and construct validity. To ensure adequate sampling of content and its drafting as
[image:5.595.37.563.523.669.2]The reliability of a measure refers to the stability and consistency with which the instrument is measuring the concept and helps to assess the “goodness” of measure.
An instrument can be declared valid if the corrected item-total correlations are greater than 0.30. The research sample was 100 respondents at a significant level of 5%. All corrected item . Each item have corrected item total correlatin larger then r table namely 3.0.
Using 83 respondents, the r table value can be obtained through table r with df (degree of freedom) = n-2, so df = 83 - 2 = 81, then r table = 0.220. The statement item is said to be valid if the value of r count> r table. From the explanation, it can be concluded that all statements for the Social Media factor (X) are valid because the calculated r value in the corrected item total - correlation> table of r table (0.220). Reliability test show that the minimal requirement of 0.6 is fulfilled. The Cronbach’s Alpha for social media item is 0.831 while consumptive behavior 0.845.
E. Regression Analysis
Classic Assumption Test
One critical assumption in any statistical testing is the normal distribution of every variable included in the analysis, so it is necessary to evaluate whether each variable is normally distributed before doing advanced data analysis, however, finding data that are exactly normally distributed are rarely expected. As a result, for most statistical tests, it is sufficient that the data are approximately normally distributed (Norusis, 2000).
There are 3 measurements that is generally used to investigate the normality of sample distributions. The measurements are summary statistics – the skewness and kurtosis figures should both be close to zero, and histogram – by fitting a normal curve to check how closely each distribution resembles the normal curve. The skewness shows a long tail at one end of the distribution and kurtosis refers to the spread of scores in the distribution (Howell, 2002). Based on the three measurement, all the data are suitable for regression analysis.
Simple Linear Regression Analysis
Multiple linear regression analysis is used to measure the influence of social media activities on consupmtive behavior. The model summary of the regression is presented on table 8 below.
Model R R Square Adjusted R Square
SE. of the Estimate
1 .560a .313 .305 .517
[image:6.595.316.567.101.202.2]a. Predictors: (Constant), Rat.X Table 8:- Model Summary
From the above output the coefficient of determination (R2) is 0,313. This shows that 31.3% of changes in variable Y (Consumptive Behavior) are
determined by the variable X (Social Media) and 68.7% is determined by other factors not observed.
Simple regression Coefficient Model
Unst. Coefficients
Standardized
Coefficients t Sig. B S.E Beta
1 (Con. .009 .642 .013 .989
Rat.X .969 .159 .56 6.082 .000
a. Dependent Variable: Source : Analysis data using SPSS
Table 9:- Simple Regression Coefficient
Value of t coefficient for acquirement was 6.082 and the linear relation significant at level 0.000, which indicated that there is positive significant relationship between social media activities and consumptive behavior. F. Discussion
From the descriptive table it appears that the level of internet usage is very high. The average respondent spends more than 10 hours per day accessing the internet. This can have a significant impact on the entry of new things in the millennial generation.
From the results of regression analysis it was revealed that social media has a significant influence on the behavior of the millennial. This is in line with the findings of Suratman (2018) that social media has a significant impact on individual behavior patterns including in consumptive behavior.
V. CONCLUSION AND AVENUE FOR FUTURE RESEARCH.
Based on the results of the research that has been stated, conclusions are drawn as follows:
There is a positive influence between Social Media (independent variable) on millennial.'s Consumptive Behavior (dependent variable) at Atma Jaya Makassar University.
The most downloaded and visited applications on mobile devices are social networking applications such as Facebook, Instagram, Twitter, and so on, where there are 44 people and internet activation> 16 hours a day. Instagram is a social media that is filled with the most
respondents as a tool that can influence respondents to become consumptive individuals (filled by 72 respondents).
Based on the results of the discussion and analysis of this research, suggestions for future researchers are: This study is a cross-sectional study, so it is sugested for
the future researcher to conduct a longitudinal study to gain more comprehensive data on the milennial consumption behvior.
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